Tuesday, July 17, 2012

Rulemaking On Hazardous Materials In Reverse Logistics

The Pipeline and Hazardous Material Safety Administration (PHMSA) is seeking public comment to assist in forming a reverse logistics policy to address the unique requirements of the hazardous materials transportation. PHMSA is working to develop a cost-effective logistical solution that maintains the agency's safety standards. The advanced notice of public rulemaking seeks comment on whether providing a clear definition of reverse logistics will promote the safe transport of hazardous materials. Comments must be submitted by October 3, 2012.

Reverse logistics is the process initiated when a consumer product goes backwards in the supply chain, such as an item being returned to a store by a customer, or when a local retailer sends unused merchandise back to a regional distributor. While returns are a fairly straightforward process for most products, the effort is complicated when a consumer needs to return paint, batteries, or other regulated hazardous materials. That difficulty is multiplied for retailers trying to manage multiple returns to various suppliers at the same time.

Because many reverse logistics shipments contain regulated hazardous materials, shippers may unknowingly violate the hazardous materials regulations, which apply to consumers as well as those involved with the commercial transportation of goods. By clarifying the guidelines for hazmat reverse logistics and increasing public awareness, PHMSA hopes to greatly reduce the occurrence of improperly packaged and inappropriately congregated hazmat items being shipped, as well as the risks for danger when this happens.